LIULIUMEI (06658) reported robust first-half 2026 results, highlighting double-digit top-line growth and a sharp rise in profitability following its June listing on the Hong Kong Stock Exchange.
Financial performance • Revenue climbed 10.6% year on year to RMB 1.06 billion, powered by continued expansion in fruit-based snacks. • Gross profit rose 19.3% to RMB 395.87 million, lifting the gross margin to 37.3% from 34.6% a year earlier. • Profit before tax increased 32.5% to RMB 173.83 million; net profit advanced 33.5% to RMB 140.87 million. • Basic and diluted EPS reached RMB 2.06 versus RMB 1.55 in H1 2025.
Channel dynamics • Snack stores became the largest sales channel, generating RMB 392.55 million (37.0% of revenue), up 16.0% year on year. • Supermarkets and membership stores contributed RMB 284.47 million (26.8%, +18.5%). • Online self-operated stores delivered standout growth, up 45.9% to RMB 118.16 million, with a gross margin of 51.2%. • Traditional distributorship revenue dipped 11.3% to RMB 265.47 million as the company refocused on higher-growth channels.
Balance sheet highlights • Cash and cash equivalents jumped to RMB 430.69 million from RMB 33.90 million at end-2025, driven mainly by HK$440.1 million net proceeds from the June IPO. • Total equity climbed to RMB 1.37 billion (end-2025: RMB 0.88 billion). • Interest-bearing bank borrowings stood at RMB 560.46 million, putting the gearing ratio at 41.0% (end-2025: 53.9%). • Inventories fell to RMB 638.32 million (end-2025: RMB 673.37 million), reflecting faster turnover in high-velocity categories.
Dividend and capital deployment • A pre-listing cash dividend of RMB 1 per share (RMB 67.35 million in total) was paid on 12 May 2026. No interim dividend was proposed for the reporting period. • Net IPO proceeds of HK$440.1 million remain unutilised; the company plans to allocate funds to capacity expansion, logistics, branding, channel development and R&D as detailed in its prospectus.
Operational updates • Product mix continues to shift toward higher-margin plum jelly, prune-based items and dried fruit. • Ongoing supply-chain investments include the Fujian Qingmei Town “super factory” and phase-two expansion of the Wuhu plum-jelly plant. • The company emphasised stringent food-safety controls and accelerated brand rejuvenation and omni-channel strategies.
Risk considerations Key risks identified include macro-economic uncertainties, raw-material price volatility, rising customer concentration (top five clients now 48.2% of revenue) and intensifying competition in the healthy snack segment.
Post-period events The company reported no material events after 30 June 2026.
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